StockBox Market Pulse: Resourcing Tomorrow with Rick Rule🔔

Dear Reader,
 
At this year’s Resourcing Tomorrow conference in London, we sat down with legendary resources investor Rick Rule for a wide-ranging conversation about the state of the markets today.
 
Rick has worked through every major commodity cycle since the 1970s, and what makes him so valuable to listen to isn’t just his experience, but also his ability to separate long-term signals from the short-term noise dominating most commentary.
 
Our discussion covered everything from gold, silver, and royalty companies to oil markets, cash positioning, and where he’s finding genuine value today.
 
You can watch the video here.
 
In the meantime, here are six of the biggest takeaways…
 
1) There’s a lot of leverage in silver
 
Rick emphasised a familiar pattern from past cycles: once generalist investors rotate into precious metals, silver tends to take leadership.
 
Historically, it has outperformed gold by around 2:1, with quality silver miners then outperforming the metal by a similar margin again. That’s how previous bull markets have delivered the biggest multi-bagger moves.
 
He didn’t go so far as to say we’re at that crossover yet, but recent sentiment and silver’s recent price action look consistent with early stage transitions he has seen before. If this cycle rhymes with history, silver equities could offer some of the strongest leverage.
 
2) We’re in a long-term gold bull market; but patience is required
 
Rick sees gold in a clear, structural bull market driven by currency debasement and years of under-investment in supply. But he warns investors not to expect a straight upward climb.
 
Even in the spectacular 1970s bull market, gold suffered deep corrections. He expects this cycle to behave similarly. One or more 25–30% pullbacks should be seen as normal, not alarming, and mining equities will likely fall harder.
 
His message is simple: patience and emotional discipline are essential. Volatility is simply how gold bull markets work.
 
3) The recent pullback is the bull market resting, not reversing
 
Rick downplays the recent pullback and horizontal movement of gold prices, calling it a natural pause after a strong run earlier in the year.
 
As money crowded into the sector, valuations rose, and experienced investors took profits – including him. That’s normal behaviour, not a shift in fundamentals.
 
The long-term drivers behind gold remain unchanged, and he sees the move as consolidation rather than the start of a downturn, something underlined by this week’s positive price performance.
 
Historically, bull markets include multiple shakeouts, testing conviction but not altering the broader trend. For disciplined investors, he believes the opportunity lies in staying patient, not reacting emotionally.
 
4) Mispriced oil presents a massive opportunity
 
Rick argues oil is deeply mispriced because markets are anchored to an incorrect political narrative; the idea that global demand will peak by 2030. Meanwhile, years of under-investment in sustaining capital set up a structural supply shortfall later this decade.
 
That disconnect creates what he considers rare value.
 
His standout example is Exxon, trading roughly 40% below NPV at $60 oil. If oil moves toward his expected $85, margins could triple or quadruple. He sees the potential for a 3-4× return over five years, even if he’s early.
 
5) Why he’s holding cash, and where he is deploying it
 
Rick is holding more cash than usual after trimming into strength. But it’s also intentional: having lived through liquidity crises, he knows cash becomes invaluable when others are forced sellers.
 
While he isn’t predicting a crash, he wants to be positioned to take advantage if weakness appears.
 
In today’s market, he’s selectively deploying into areas he believes offer genuine value; namely oil and gas equities and select U.S. community banks trading at depressed valuations.
 
6) Royalty companies, and why Ecora caught his eye
 
Rick remains a strong advocate for royalty companies because they capture upside without exposure to capex overruns or operating-cost inflation.
 
Ecora appealed because it was misunderstood. With most cash flow coming from coal, UK institutions avoided it, leaving the shares at roughly 40% of his estimated NPV. Meanwhile, the company was using that cash to acquire future royalties that wouldn’t show up in earnings for several years.
 
As those assets approach production, the valuation gap is narrowing and validating the early opportunity he saw in the model and in Ecora specifically.
 
Rounding-up
 
Rick’s message is clear: the long-term opportunity across precious metals and energy is real, but it won’t reward impatience.
 
Silver could take leadership, gold remains in a primary bull market, and oil may be the most mispriced sector of all. The investors who benefit will be the ones who stay calm through volatility and keep liquidity ready for moments of real value.
 
Be be sure to visit the Resourcing Tomorrow playlist on StockBox’s YouTube channel for more videos from the floor with industry stalwarts such as Gervais Williams, Angelos Damaskos, and Mike Ralston.
 
Best Wishes,
The StockBox Team